Public Belt Railroad Back On Track With State And Federal Funding 

Release Date: July 16, 2008
Release Number: 1603-800

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NEW ORLEANS, La. -- Hurricane Katrina almost derailed one of the most vital components of New Orleans' economy by destroying nearly a quarter of the New Orleans Public Belt Railroad's (NOPBR) 100 miles of track. The state of Louisiana and FEMA officials have worked together over the past several months to commit funding to speed the return of the NOPBR.

The NOPBR provides switching and hauling services for the seven railroad lines-Amtrak, Burlington Northern Sante Fe, Canadian National, CSX, Kansas City Southern, Norfolk Southern and Union Pacific-that travel through New Orleans, transporting much needed products and goods around the country. Approximately 22,000 rail cars pass through the NOPBR daily.

"We have worked side by side with our state, federal and local partners to return this critical piece of infrastructure to New Orleans," said Louisiana Recovery Authority (LRA) Executive Director Paul Rainwater.  "Railroads are historically important to our country and as the economy in south Louisiana continues to grow, so do the demands for transportation, including railroads."

New Orleans' railroad services are imperative for the country's delivery network of goods and services. It connects with the Port of New Orleans, one of the world's busiest ports, so goods can be shipped from one port to several markets. The NOPBR also owns the Huey P. Long Bridge in Harahan and maintains the railroad portion of the bridge. Without NOPBR, shipments could not go across the Mississippi River in New Orleans.

"We're the spine of the transportation community for the city," the Assistant Chief Engineer for the NOPBR Bob Kollmar said.

FEMA and the state of Louisiana recognize the NOPBR's importance for the city's economy and have committed approximately $12.8 million to restore the NOPBR to its pre-storm capacity and repair storm-related damages. In addition to track damage, Katrina also destroyed a sand tower, turntable and railroad signal crossings.

"Storm damages created a devastating blow to the Public Belt Railroad," said Acting Associate Deputy Administrator for FEMA's Gulf Coast Recovery Office Jim Stark. "Through our close coordination with the state and NOPBR, we are able to reimburse the Public Belt Railroad for all eligible repairs - repairs that should pay dividends for the local economy for years to come."

Many New Orleans businesses rely on the NOPBR for their everyday operating functions. The storm-damaged tracks hindered certain businesses from shipping and receiving freight in an efficient, cost-effective manner through the NOPBR.

"Businesses and the economy can't fully recover until the Public Belt fully recovers," Kollmar said. "We know if we don't rebuild the rail lines, the businesses will be gone."

FEMA's rebuilding of the NOPBR will not only bring it back to pre-storm capacity, but it will make the railroad stronger. For instance, one improvement is the laying of 70,000 tons of granite rocks for track foundations. Previously, the NOPBR had laid crushed seashells for track foundations, which created sometimes soggy and unstable surfaces.

The NOPBR will also be reimbursed for damages to its Uptown facilities on Tchoupitoulas Street that occurred when the facilities were used by the California National Guard during the initial disaster response. The Guard's heavy vehicles put too much stress on the adjacent parking lot, so federal funds compensated the NOPBR for it to be repaved. The NOPBR was also compensated to restock its diesel fuel supply, which the Guard used to power its vehicles. This diesel fuel supply is the power source for NOPBR locomotives.

Most construction improvements to the NOPBR should be completed in about a year, according to Kollmar.

"We'll have a much stronger railroad because of FEMA," he said. "By having a strong railroad, it allows us to serve these businesses. It provides tremendous opportunity for the local economy."

When project funds are obligated by FEMA through its supplemental Public Assistance grant, the funds are transferred to a federal Smartlink account. Once the funds have reached this account the applicant can request reimbursement from the Governor's Office of Homeland Security and Emergency Preparedness (GOHSEP) for eligible work completed. Obligated funds may change over time as the project worksheet is a living grant that is often adjusted as bids come in and scope of work is aligned.

During his first day in office, Governor Bobby Jindal issued an Executive Order directing the LRA to be responsible for the state's actions with regard to FEMA's Public Assistance program. The LRA is working in conjunction with GOHSEP and its federal partners to identify ways to streamline the Public Assistance process and improve efficiency, with the ultimate goal of cutting in half the length of time that applications spend in the process.

The Public Assistance program works with state and local officials to fund recovery measures and the rebuilding of government and certain private nonprofit organizations' buildings, as well as roads, bridges and water and sewer plants. In order for the process to be successful, federal, state and local partners coordinate to draw up project plans, fund these projects and oversee their completion.

FEMA coordinates the federal government's role in preparing for, preventing, mitigating the effects of, responding to and recovering from all domestic disasters, whether natural or man-made, including acts of terror.

Last Modified: Thursday, 17-Jul-2008 16:24:12